U.S. core capital goods orders fall in December

WASHINGTON (Reuters) - New orders for key U.S.-made capital goods unexpectedly fell in December, suggesting a moderation in business spending on equipment after strong gains in 2017.

The Commerce Department said on Friday that orders for non-defense capital goods excluding aircraft, a closely watched proxy for business spending plans, fell 0.3 percent last month after an upwardly revised 0.2 percent gain in November.

They were previously reported to have slipped 0.1 percent in November. The figures were included in the advance fourth-quarter GDP estimate, which was published on Friday.

Business spending on equipment increased at an 11.4 percent annualized rate in the fourth quarter, contributing to the economy’s 2.6 percent growth pace during that period. The economy grew at a 3.2 percent rate in the July-September quarter.